News Brief

7/4/2014, Tammuz 6, 5774

IMF Urges Israel to Lift Restrictions on PA Economy

The International Monetary Fund said, Thursday, that the Palestinian Authority economy is weakening and urged Israel to lift restrictions on the PA, according to Agence France Presse. According to a February forecast, the IMF saw the PA economy growing 2.5 percent this year, up from 1.5 percent in 2013.

After briefing the international donor community and the PA, IMF mission chief Christoph Duenwald said in a statement that the authority is "doing a commendable job" managing the economy "against the background of rising political uncertainty". He said the global donor community's support is vital at this time, as is a comprehensive easing of Israeli restrictions to underpin the Palestinian reform efforts," and to help fill a "sizable" financing gap this year for the authority. He noted, "Unemployment, particularly youth unemployment, currently at 43 percent, continues to rise from already high levels."